Share Purchase Warrants

6 Months Ended

Mar. 31, 2017

Share Purchase Warrants:

Share Purchase Warrants

7. Share Purchase Warrants

On February 15, 2017, the Company issued 500,000 share purchase warrants with an exercise price of $0.15 per share of common stock for a period of five years. The fair value of the share purchase warrants was $133,295, calculated using the Black-Scholes option pricing model assuming no expected dividends, volatility of 212%, expected life of 5 years, and a risk-free rate of 1%.

On February 16, 2017, the Company issued 2,000,000 share purchase warrants with an exercise price of $0.001 per share of common stock for a period of five years to replace 2,000,000 shares of common stock which were cancelled and returned to treasury (refer to Note 6). The fair value of the share purchase warrants was $519,682, calculated using the Black-Scholes option pricing model assuming no expected dividends, volatility of 212%, expected life of 5 years, and a risk-free rate of 1%.

	Number of cashless warrants	Weighted average exercise price $
Balance, September 30, 2016	242,000	0.50
Issued	2,500,000	0.03
Balance, March 31, 2017	2,742,000	0.07

Additional information regarding share purchase warrants as of March 31, 2017, is as follows:

	Outstanding and exercisable
Range of Exercise Prices $	Number of Warrants	Weighted Average Remaining Contractual Life (years)
0.001	2,000,000	4.9
0.15	500,000	4.9
0.50	242,000	4.3
	2,742,000	4.8